Government proposes that municipalities affected by fires can overcome indebtedness

The Government will create a fund to support the costs resulting from the damage caused by the fires in the Algarve and […]

The Government will create a fund to support the costs resulting from the damage caused by the fires in the Algarve and Madeira and propose in the State Budget for 2013 that the affected municipalities can exceed the debt limits. These were some of the decisions taken by the Council of Ministers today, July 26th.

According to a statement from the Council of Ministers, "mechanisms to minimize the consequences of the fires that hit the Algarve municipalities of São Brás de Alportel and Tavira between 18 and 21 July" were approved, bearing in mind that "their extent confers an exceptional character'.

These mechanisms include a fund, of value yet to be defined, which will be created by legal diploma.

Also approved was a "commitment to enroll in the draft law on the State Budget for 2013 of a rule that establishes that the medium and long-term indebtedness limits can be exceeded by the affected municipalities, for the amount strictly necessary to contract loans." which may also apply "to municipalities in the Autonomous Region of Madeira, which are identified in articulation between the Government of the Republic and the Regional Government".

“The creation of a fund to support the costs resulting from the damage caused by fires, namely the reconstruction and repair of houses and economic exploitation units, as well as the coverage of other social needs” was also determined.

The statement adds that the support to be granted will be "based on the damage actually suffered and on the incapacity of the victims to overcome the situation, in whole or in part, namely when the protection of existing insurance contracts is insufficient".

In parallel, and according to the statement, the Council of Ministers also approved a set of social support measures, with priority being given to "families who are in a situation of proven economic need."

These are the first results of the work carried out by the interministerial commission chaired by the Deputy Minister and Parliamentary Affairs and made up of members of the Government responsible for the areas of finance, internal administration, tourism, agriculture and solidarity and social security, which is responsible for the political coordination of the mechanisms.

At the press conference that followed the Council of Ministers, the responsible for the Ministry of Agriculture and Environment added that, at the moment, the Agriculture services are already on the ground “to assess the situation”.

Also at the press conference, it was announced that the PRODER (Rural Development Program for the Mainland) will give priority to «the analysis and decision of agricultural and forestry projects located in the areas most affected by fires».

 

Read here the communiqué from the Council of Ministers in full.

 

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